yes absolutely,i do much much better in a rising rates environment. there is a lot mroe liquidity in the small-mid capsspace which i trade, i noticed when they started cutting rates, liquidity started vanishing
Bernanke did a cut on the Thursday before expiration. IIRC it was during the LEH fiasco. Obviously the timing is there to f^ck the greatest number of traders.
With regards to your idea that raising rates is an indcation that the economy is improving don't you think the fed is trying to make that impression yet it doesnt mean it is improving, my Gosh these guys are as phoney as baloney! The unemployment and forclosures are just 2 signs.
1) That's "true" during a bull market, not a bear market. 2) That's "true" during a bear market, not a bull market. 3) Be careful to extrapolate somebody else's perceptions.
I think if you took the time to research your own comments, you might see that number 2) just signaled the very top of a 5 year bull run. Please cite your research or provide your own, so we can all agree on the 'facts.'
I agree. Interest rate hike may have a different affect on the market this time. Of course, nothing is for sure. PA
Yea that seems crooked, why not Fri after close or Monday? Maybe Fed just flaunting that what they say is more important than having a free market. Seems like a power trip screw job, even if only subconscious. Although, this is only the "discount" and CPI should have more effect tomorrow than this. Im prolly wrong though.
A) When interest rates are cut, when rates are relatively "high", that can spur borrowing and the market (bullish). B) When interest rates are cut, when rates are relatively "low", that may not spur borrowing if there is no confidence in being able to pay back the debt(bearish). Nobody borrows, even if rates are ~0%. C) With the discount rate hike, it seems the FED may be wanting to "lead" the market instead of merely "responding" to it.